Carbon Emissions Intensity
Greenhouse gas emissions (Scope 1 and 2) per unit of revenue or output
What is Carbon Emissions Intensity?
Carbon emissions intensity is the amount of greenhouse gas an organisation emits for each unit of revenue. It shows how carbon-efficient a business is as it grows.
Intensity lets organisations of different sizes be compared, and shows whether decarbonisation is keeping pace with growth.
How this KPI is measured
- Function
- Operations & Supply Chain
- Sub-function
- Sustainability
- Industry
- All Industries
- Type
- Lagging
- Impact
- Operational
- Unit
- tCO2e
- Measurement frequency
- Quarterly / Annual
- Formula
- Total Scope 1+2 emissions (tCO2e) / Revenue ($m)
How to calculate it
Divide total Scope 1 and 2 emissions, in tonnes of carbon dioxide equivalent (tCO2e), by revenue in millions.
For example, if a company emitted 5,000 tCO2e and had revenue of 250 million, intensity is 20 tCO2e per million.
Scope 1 covers direct emissions and Scope 2 covers purchased energy. Follow a recognised standard such as the Greenhouse Gas Protocol and consider adding Scope 3.
Where it is used
Tracking decarbonisation
Measure progress.
Reporting
Meet disclosure requirements.
Benchmarking
Compare with peers.
How to improve it
Tips and common mistakes
- Intensity can fall while total emissions rise. Track both.
- Revenue changes affect the ratio.
- Consider Scope 3 for a fuller picture.
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